State's Tight Purse Strings Will Hurt Community Colleges Another View

The Bucks County Community College will face a severe funding crisis in 1989 if the state fails to provide a full one-third of net operating costs as provided by law.

The current funding formula for Pennsylvania's 14 community colleges was last revised in 1983, when the state average cost of educating a full-time student was $2,400. In 1989 the average cost will be approximately $3,300 - still, by far, the lowest cost per student in the entire state system of higher education. Even so, state funding for community colleges for 1985 through 1987 increased by only 0.8 percent while state funding for the rest of public higher education increased by more than 13 percent.

State law currently provides that the commonwealth reimburse community colleges at one-third net operating costs or $800 per full-time student, whichever is less. Student tuition covers (and may not exceed) another one- third. The remainder comes from the local sponsor, Bucks County in our case. For 1988 the county commissioners increased the county's contribution substantially and guaranteed a revenue anticipation note to enable the college to balance its annual budget. As of this writing, the actual breakdown of direct appropriations to our net operating budget for 1988 is 26.06 percent state, 25.68 percent county, and 33.16 percent student tuition. The balance of 15.1 percent is derived from auxiliary services, which the county considers as part of its contribution (5.79 percent) and special state stipends for cost by vocational programs that require special appropriations.

Recognizing the funding shortfall, the county commissioners have expressed a positive commitment to further address the question of local funding. Our state representatives have made a similar commitment to support increased state funding. Unfortunately, thegovernor's budget for the next fiscal year provides only 2 percent additional appropriations for community colleges. Bucks' share of the amount is $120,000. With no further increase in our funding, and assuming only that we maintain our current operations, we face a shortfall of $2 million by the end of 1989. That's nearly 10 percent of our 1989 operating budget!

For its part, the college has implemented a deficit-reduction strategy. Departments are being held to last year's level of expenditure; an early retirement incentive has been provided; staff vacancies are not being filled; every cost-saving avenue is being pursued. But like all labor intensive institutions, most costs are mandated - collective bargaining contracts, utilities, insurance and so forth. The college has few discretionary dollars and cannot reduce expenditures significantly without cutting services as well. Although the college could raise tuition next year to reflect one-third of increased operating costs, student tuition at Pennsylvania's community colleges is already the seventh highest in the nation and double the national average.

Paradoxically, this funding problem develops just at the time community colleges, and Bucks in particular, have reached a level in their development. It is a time of high productivity in providing job training and retraining opportunities, partnerships with business and industry, and overall access to higher education to growing numbers of students who rely on lower tuition and local proximity. Community colleges are at the cutting edge of economic development but are facing the prospect of reducing their services to balance their budgets. Important new programs are not being developed to meet state and local needs because appropriate funding is not forthcoming.

Statewide, it is unfair to ask students to bear an even greater burden, and it is difficult for many local sponsors to make up for the shortfall because they already have significant financial difficulties. To alleviate their problem, the community colleges are seeking an increase in the maximum level of state support from $800 to $1,100 per full-time student.

At this level 12 of 14 colleges, including Bucks, would receive one-third of their net operating costs from the state. This increase would reduce the financial burden on local sponsors, stabilize student tuition, and permit the community colleges to become more active in promoting economic development.

Today, Pennsylvania's community colleges enroll more than 25 percent of all college freshmen, 131,000 students in credit programs, a fourth of all minority students going to college, highest percentage of women of any segment of higher education, and nearly 200,000 students in non-credit programs. They offer 854 different degree and certificate programs, 127 advanced technology programs, special programs for dislocated and unemployed workers, on-site programs for local business and job-specific programs through special contracts.

We are asking our legislators to support amendments to the House and Senate funding bill for community colleges that will provide a ceiling of $1,100 per full-time student. We are seeking the support of our local communities as well. We need to remain financially solvent if we are to continue providing comprehensive vital services. We offer the best return on the state's higher education investment because we can do more for less in stimulating economic development and providing post-secondary education to thousands who cannot otherwise attend college.

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(William E. Vincent is president of the Bucks County Community College.)